Re: Give them the data
This is where the law gets murky.
First, the data on their customers is an asset. It has value and one could place a dollar amount on it. You can thank Silicon Valley VC types for this.
So while the privacy laws may restrict how they use the data, it doesn't mean that the bankrupt company couldn't sell the data.
In short, you're still screwed because they could always join this data to their existing data on you ...